TRENTON, N.J. (AP) — New Jersey Transit's board of directors has unanimously approved a 15% fare increase for bus and train riders, the first time its rates will rise in nearly 10 years.

The increase approved Wednesday will take effect July 1. It's intended to help close a more than $100 million budget gap for the upcoming fiscal year, agency officials said. It also calls for annual, regular fare increases of 3% in subsequent years.

NJ Transit has said it initially reduced some of its projected budget gaps by making $44 million in cost reductions, along with an additional $52 million in revenue enhancements. Agency officials also noted that the plan does not call for service level reductions.